10 U.S.C. § 240c — Audit: consolidated corrective action plan;

Page 332 TITLE 10—ARMED FORCES § 240c employees in addition to departments, agencies, and components.’’ ANNUAL REPORTS ON FUNDING FOR CORRECTIVE ACTION PLANS Pub. L. 116–92, div. A, title X, § 1009(c), Dec. 20, 2019, 133 Stat. 1576, as amended by Pub. L. 116–283, div. A, title X, § 1081(c)(5), Jan. 1, 2021, 134 Stat. 3873; Pub. L. 118–31, div. A, title X, § 1061(i), Dec. 22, 2023, 137 Stat. 400, provided that: ‘‘Not later than 10 days after the submittal to Congress under section 1105(a) of title 31, United States Code, of the budget of the President for any fiscal year after fiscal year 2020, the Secretary of Defense shall submit to the congressional defense com- mittees [Committees on Armed Services and Appro- priations of the Senate and the House of Representa- tives] a report setting forth a detailed estimate of the funding required for such fiscal year to procure, obtain, or otherwise implement each process, system, and tech- nology identified to address the current corrective ac- tion plans of the departments, agencies, components, and elements of the Department of Defense, and the corrective action plan of the Department as a whole, for purposes of chapter 9A of title 10, United States Code, during such fiscal year.’’ [Pub. L. 116–283, div. A, title X, § 1081(c), Jan. 1, 2021, 134 Stat. 3873, provided that the amendment made by section 1081(c)(5) of Pub. L. 116–283 to section 1009(c) of Pub. L. 116–92, set out above, is effective as of Dec. 20, 2020 (probably should be Dec. 20, 2019) and as if included in Pub. L. 116–92.] § 240c. Audit: consolidated corrective action plan; centralized reporting system The Under Secretary of Defense (Comptroller) shall— (1) on a bimonthly basis, prepare a consoli- dated corrective action plan management summary on the status of key corrective ac- tions plans related to critical capabilities for the armed forces and for the components of the Department of Defense that support the armed forces; and (2) develop and maintain a centralized moni- toring and reporting process that captures and maintains up-to-date information, including the standard data elements recommended in the implementation guide for Office of Man- agement and Budget Circular A–123, for key corrective action plans and findings and rec- ommendations Department-wide that pertain to critical capabilities. (Added Pub. L. 115–91, div. A, title X, § 1002(d), Dec. 12, 2017, 131 Stat. 1540, § 253; renumbered § 240c, Pub. L. 115–232, div. A, title X, § 1002(a)(1)(A), Aug. 13, 2018, 132 Stat. 1945.) Editorial Notes AMENDMENTS 2018—Pub. L. 115–232 renumbered section 253 of this title as this section. § 240d. Audits: audit of financial statements of Department of Defense components by inde- pendent external auditors (a) AUDITS REQUIRED.—For purposes of satis- fying the requirement under section 3521(e) of title 31 for audits of financial statements of De- partment of Defense components identified by the Director of the Office of Management and Budget under section 3515(c) of such title, the Inspector General of the Department of Defense shall obtain each year audits of the financial statements of each such component by an inde- pendent external auditor. (b) SELECTION OF AUDITORS.—The selection of independent external auditors for purposes of subsection (a) shall be based, among other ap- propriate criteria, on their qualifications, inde- pendence, and capacity to conduct audits de- scribed in subsection (a) in accordance with ap- plicable generally accepted government auditing standards. The Inspector General shall partici- pate in the selection of the independent external auditors. (c) MONITORING AUDITS.—The Inspector Gen- eral shall monitor the conduct of all audits by independent external auditors under subsection (a). (d) REPORTS ON AUDITS.— (1) IN GENERAL.—The Inspector General shall require the independent external auditors con- ducting audits under subsection (a) to submit a report on their audits each year to— (A) the Under Secretary of Defense (Comp- troller) as the Chief Financial Officer of the Department of Defense for the purposes of chapter 9 of title 31; (B) the Controller of the Office of Federal Financial Management in the Office of Man- agement and Budget; (C) the head of each component audited; and (D) the appropriate committees of Con- gress. (2) APPROPRIATE COMMITTEES OF CONGRESS DEFINED.—In this subsection, the term ‘‘appro- priate committees of Congress’’ means— (A) the Committee on Armed Services, the Committee on Homeland Security and Gov- ernmental Affairs, and the Committee on Appropriations of the Senate; and (B) the Committee on Armed Services, the Committee on Oversight and Government Reform, and the Committee on Appropria- tions of the House of Representatives. (e) RELATIONSHIP TO EXISTING LAW.—The re- quirements of this section— (1) shall not be construed to alter the re- quirement under section 3521(e) of title 31 that the financial statements of the Department of Defense as a whole be audited by the Inspector General or by an independent external audi- tor, as determined by the Inspector General; and (2) shall not be construed to limit or alter the authorities of the Comptroller General of the United States under section 3521(g) of title 31. (Added and amended Pub. L. 115–91, div. A, title X, § 1002(e)(1)–(3), Dec. 12, 2017, 131 Stat. 1541, § 254; renumbered § 240d, Pub. L. 115–232, div. A, title X, § 1002(a)(1)(A), Aug. 13, 2018, 132 Stat. 1945; Pub. L. 118–31, div. A, title IX, § 901(d), Dec. 22, 2023, 137 Stat. 354.) Editorial Notes CODIFICATION Text of section, as added by Pub. L. 115–91, is based on text of section 1005 of Pub. L. 114–92, div. A, title X, Nov. 25, 2015, 129 Stat. 961, which was formerly set out